Sep 09, 2021
MIM ASSUMES MANAGEMENT OF 640-UNIT LIHTC PORTFOLIO
(Springfield, MO – September 13, 2021) Moline Investment Management [MIM]| Moline Management, LLC, an affordable and market-rate housing specialist investment manager focused on the development, redevelopment, ownership, and operation of multifamily assets across the Midwest and Central U.S. is pleased to announce that it has assumed the management of a 640-unit LIHTC portfolio.
“The portfolio is comprised of high-quality assets, but that have just not been managed to their full potential” stated Charles Moline, Founder and CEO of MIM. ‘Dispersed throughout Missouri, Nebraska and Kansas, the portfolio overlays nicely with our existing communities and is a strong addition to our ongoing LIHTC business.”
“Coincident with MIM’s assumption of management responsibilities, we expect to enter into a purchase and sale agreement for these assets within the next 30 days,” continued Moline, “with a closing scheduled for late in the fourth quarter, dependent upon underwriting and investment committee signoff.”
The management assignment was awarded by a U.S.-based private equity firm prominent in LIHTC investments. The firm recently reallocated a portion of its portfolio to other asset classes within the private equity and alternatives investments space, driving the re-balancing.
“This transaction is, first and foremost, a testament to MIM and Moline Management’s track record and reputation for operating LIHTC communities, and our team’s skill at running them efficiently,” offered Paul Arena, MIM’s Chief Operating Officer. “By the time we acquire and close on the portfolio later this year,” continued Arena, “MIM will have greatly improved these assets operationally, which directly benefits every one of the 640 plus residents.” “At the same time, Arena continued, we will have expanded our growing portfolio and market presence as we continue to acquire and develop market-rate communities throughout the Midwest and central states.”
With a significant portion of the properties having a remaining life in the tax credit program of less than four years, MIM will begin to transition certain of these LIHTC assets to market-rate status as they become eligible.
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“Our pre-transition diligence indicated, in fact, that a number of the assets were already eligible to transition out of the program and to assume market-rate status,” Arena continued, “yet no steps were taken by the prior management, and there was little to no communication with the Agencies that oversee these programs to discuss the timeline for this transition.”
About Moline Investment Management [MIM] | Moline Management, LLC
Founded in 2010, MIM ( www.molinemgt.com ) is a affordable and market-rate housing specialist investment manager focusing on the development, redevelopment, ownership and operation of multi-family apartment communities across the U.S. MIM targets development, redevelopment and/or acquisition opportunities within dynamic midwestern and central U.S. urban and suburban markets, as well as other select cities where current and projected supply, demand and price metrics – – reinforced by MIM’s hands-on operating paradigm and asset management process – – allow us to unlock value and generate superior returns for our investors.
A central tenet of the MIM operating paradigm is to put our tenants first. We continuously seek to offer a range of services and amenities that improve the lives of all our residents. We operate in a manner that drives preference for MIM communities, exceeds expectations, and speaks to the loyalty of those who choose to reside with us, year after year.
Our people are the backbone of our success, and they work with purpose to build on and constantly improve a culture that encourages teamwork, employee involvement, trust, opportunity, and respect. We believe in the highest levels of honesty and integrity in all we do.